https://www.taxtmi.com/caselaws?id=99914 A charge in favour of selected creditors shortly before winding up was held to amount to a fraudulent preference where the surrounding circumstances showed a dominant motive to secure an undue advantage, including prolonged unsecured debt, insolvency, the timing of the security and the absence of credible commercial pressure. The court also noted that the respondents were creditors and that the charge documentation and deposit of title deeds could evidence a mortgage, but the later creation and attempted registration occurred after the company had become insolvent and business had ceased. The mortgages therefore did not bind the liquidator and were void as against him. en-us Thu, 19 Jun 1980 00:00:00 +0530 Mon, 30 Jan 2012 15:52:34 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=99914 A charge in favour of selected creditors shortly before winding up was held to amount to a fraudulent preference where the surrounding circumstances showed a dominant motive to secure an undue advantage, including prolonged unsecured debt, insolvency, the timing of the security and the absence of credible commercial pressure. The court also noted that the respondents were creditors and that the charge documentation and deposit of title deeds could evidence a mortgage, but the later creation and attempted registration occurred after the company had become insolvent and business had ceased. The mortgages therefore did not bind the liquidator and were void as against him. Case-Laws Companies Law Thu, 19 Jun 1980 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=99914